London, July 8, 2026, 15:01 BST
- CPP stock surged on strong volume, though shares remain well under their 52-week high.
- The proposed rescue package is bigger than the company’s current equity value.
- The July 14 vote will decide if shareholders hang on to AIM trading or switch to private-company shares.
CPP Group plc (LON:CPP) was last seen at 33 pence in delayed London trading Wednesday, gaining 24.5% for the session on volume of more than 134,000 shares, well above its 65-day average of about 13,000. No new RNS from the company in the last two sessions. This is a vote-risk move ahead of its July 14 general meeting, not a sign of a clean turnaround.
CPP trades at 33p, putting the company’s market cap around £3.0 million. Shares are still down about 80% from a 52-week high of 163p and sit 32% above the recent 25p low. AJ Bell’s quote showed 31p to sell and 33p to buy, leaving a 2p spread, or roughly 6.3% of the midpoint before dealing costs.
| Tape check | Latest signal | Investor read-through |
|---|---|---|
| Last quoted price | 33p | Big swing today on a small base |
| Day change | +24.5% | Stock jumps but still looks stressed |
| 52-week range | 25p-163p | Still trading at distressed levels |
| Volume | about 134,000 | Today’s volume is 10x recent average |
| Bid/ask | 31p/33p | Wide spread, hard to get out |
The focus isn’t on today’s rally in shares. The question is how CPP’s equity stacks up against the scale of the new rescue deal. CPP is looking to raise up to £5.9 million in secured convertible loan notes—£3.0 million from a Gresham House fund and as much as £2.9 million from existing shareholders. That total is nearly double CPP’s current market cap. The notes pay 12% interest, come with a 10% redemption premium, and have a 100p conversion price, plus first-priority security over Blink.
| Funding item | Amount / term | Market meaning |
|---|---|---|
| CPP market cap | about £3.0 mln | Equity value on the market is below what’s being requested |
| Maximum fundraise | £5.9 mln | Raises enough to shift who gets the upside |
| Minimum shareholder offer needed | £2.0 mln | Deal falls apart if there’s not enough backers |
| Conversion price | 100p | Set at triple the 33p share price |
| Possible new ordinary shares from notes and warrants | 10.2 mln | Makes up 52.6% of share count if everything converts |
Blink’s numbers show the stock can seem cheap on software metrics. Blink revenue jumped 69% to £1.8 million in 2025, while annualised recurring revenue climbed 50% to £2.4 million. CPP said Blink counts 32 business partners in 24 geographies, and group gross margin came in at 88%. Current market cap is about 1.3 times Blink ARR.
| Operating metric | 2025 | 2024 | Read-through |
|---|---|---|---|
| Continuing revenue | £2.1 mln | £2.4 mln | Blink picking up, but old business still weighs |
| Blink revenue | £1.8 mln | £1.1 mln | Blink is up |
| Blink ARR | £2.4 mln | £1.6 mln | Visibility on revenue got better |
| Group EBITDA | £(5.2) mln | £(6.6) mln | Loss is down, but cash still burning |
| Year-end cash | £5.6 mln | £9.7 mln | Less headroom on cash |
| Central costs | £2.8 mln | £6.9 mln | Cost focus helped, pressure remains |
The ARR multiple looks cheap for a reason. Blink posted an EBITDA loss of £2.5 million in 2025, with the group overall losing £5.2 million on EBITDA. CPP reported cash at around £3 million in its June results update and warned liquidity is likely enough only until the end of Q3 2026. Chairman David Morrison called out a “significant funding challenge” after the India disposal cash didn’t come in. Investegate
The India sale is where the CPP equity story turns. CPP wrapped up the CPP India sale in September 2025 for up to $20 million, getting $15 million right away. Later, CPP said the buyer didn’t plan to pay the last $5 million in deferred money, which CPP says is wrong. In January, before the deferred payment issue came out, the board said cash plus potential deferred cash should meet funding needs for at least 12 months.
Talk of a takeout has faded. CPP said back in April it got offers and interest for Blink at values “significantly in excess” of the group’s market cap. By the time of the June circular, the board said it didn’t see a real near-term bid coming for Blink or the wider company, and called the GHAM-led funding the only option left to keep trading. Investegate
Vote maths looks tight. At the June 30 AGM, every resolution cleared, but only 78% backed the power to issue shares and drop pre-emption rights. 22% voted no. Scrapping the AIM listing needs 75% approval, so if turnout shifts or a block breaks away, the buffer shrinks and the rescue deal could be hit.
The stock looks less like a usual small-cap growth play now. For investors, it’s more about three things: getting the financing approved, whether Blink can turn ARR into cash, and a shot to exit before the stock is delisted. CPP said if shareholders back the cancellation, there won’t be a formal market for the shares. It’ll drop half-yearly reports, UK market-abuse rules won’t apply, and investors won’t need to disclose major holdings.
CPP will set up a JP Jenkins matched-bargain facility for at least a year after its AIM exit, though that won’t offer the same trading as AIM. The company expects its last trading day on AIM on July 23, then plans to cancel at 7:00 a.m. on July 24. CPP aims to re-register as a private company by August 12.
